“SEMI is pleased to present this award
to Dr. Chiu for his outstanding leadership and commitment to EHS issues,"
said Denny McGuirk, president and CEO of SEMI.
“Dr. Chiu’s award recognizes his status among a distinguished group of
semiconductor executives who have been honored for significant EHS achievement.
As chief executive of the largest and most advanced foundry in mainland China,
his leadership is a vital example for the region’s burgeoning semiconductor
manufacturing activity. ”

“We must always conduct ourselves with future
generations in mind,” Dr. Chiu said. “We absolutely do not compromise
environment and safety in search of profit.”

These principles have been evident
throughout Chiu’s 30-year career. As SMIC’s senior vice president in the five
years after its founding, he helped embed these principles into SMIC’s
corporate operations. When he returned to SMIC as CEO in 2011, Chiu bolstered
the programs he helped to launch while strengthening the company’s commitment
to sustainability, social responsibility, and corporate citizenship.

Chiu’s leadership has resulted in significant
EHS achievements at SMIC. Those cited by the Award committee in the selection
of Chiu include:

Occupational Safety and Health — In the past three years, SMIC has reduced its
recordable occupational injury rate to just 0.01 per 100 employees. Viewing
even a single injury as too many, Chiu has set an incident and injury goal of
zero.

Green Manufacturing — SMIC minimizes its environmental impact by using resources
efficiently, reducing pollution substantially, disposing of hazardous materials
responsibly, and upgrading facilities regularly. SMIC considers the entire
manufacturing cycle in reducing its impact. As a result, in 2011 SMIC’s Shanghai site reduced PFC
and CO2 emissions by 44 percent, water consumption by 21 percent, and
electricity by 20 percent. In addition, all future SMIC fab construction must
follow the LEED certification process to ensure best known practices are
incorporated into fab design.

Climate Change
— In 2010, SMIC became the first semiconductor company in China to receive the ISO 14064
Greenhouse Gas Measurement certification. SMIC’s climate change response
strategy involves risk mitigation, pollution prevention, supply chain
management, and energy saving activities. Following the World Semiconductor
Council's national emission reduction targets, the China Semiconductor Industry
Association (CSIA) committed in 2011 to reduce PFC emissions by 30 percent (per
unit area of each chip produced) by 2020. Since
Chiu became CEO in 2011, the implementation of eleven SMIC
energy-savings projects have saved energy equal to 3,551 tons of coal per year,
and the installation of 65 sets of thermo-wet local scrubbers have reduced
SMIC’s PFC emissions by 44,473 tons of CO2 per year.

Water Conservation — Water management is critical to SMIC's manufacturing processes. Each
SMIC site continually upgrades its systems to minimize water consumption and
cut waste. SMIC also maximizes the use of industrial water sources, easing
demand on community water supplies. SMIC has sophisticated programs for rainwater
reclamation and water purification and recycling.

Pollution Prevention — SMIC is the first foundry in mainland China
to receive the GPMS Hazardous Substance Management certificate and has
maintained the QC-080000 certification at all its fabs ever since. In 2012,
SMIC added four equipment systems at its Shanghai
site to reduce the production of phosphoric acid. These systems reduced
phosphoric acid emissions by 8.6 tons, limiting eutrophication and related
impacts on the surrounding water environment.

The “Outstanding EHS Achievement Award —
Inspired by Akira Inoue” is sponsored by SEMI (www.semi.org). The award is named after the late Akira Inoue, past
president of Tokyo Electron Limited and a strong advocate of EHS. Inoue also
served on the SEMI Board of Directors. The award recognizes individuals in
industry and academia who have made significant contributions by exercising
leadership or demonstrating innovation in the development of processes,
products or materials that reduce EHS impacts during semiconductor
manufacturing. Past Award recipients include: Ajit Manocha (CEO,
GLOBALFOUNDRIES), Dr. Morris Chang (chairman and CEO, TSMC), Dr. Jong-Kap Kim
(chairman and CEO, Hynix Semiconductor), Atsutoshi Nishida (president and CEO,
Toshiba), and other prominent industry leaders.

About
SEMI

SEMI is the global industry association
serving the nano- and microelectronic manufacturing supply chains. Our 1,900
member companies are the engine of the future, enabling smarter, faster and
more economical products that improve our lives. Since 1970, SEMI has been
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For more information, visit www.semi.org.